Benchmark Bullish on Spotify’s (SPOT) Growth, Cites Netflix Partnership and Platform Expansion

Spotify Technology SA (NYSE:SPOT) ranks among the stocks with the best earnings growth for the next 5 years. Benchmark kept its $800 price target and Buy rating on Spotify Technology SA (NYSE:SPOT) as of October 16 as the streaming giant gets ready to move some of its video podcast content from YouTube to Netflix.

Through the partnership, Netflix will provide a selection of Spotify Studios and The Ringer podcasts, including well-known series like The Bill Simmons Podcast, The Ringer F1/NFL/NBA, and The Rewatchables. That said, important aspects of the agreement, such as the contract period, the integration specifics, and the monetization strategy, are yet unknown.

Benchmark thinks that the agreement is beneficial for both sides. It lets Spotify Technology SA (NYSE:SPOT) reach more creators while lowering direct competition with YouTube, and it allows Netflix to add more content to boost subscriber retention.

Spotify Technology SA (NYSE:SPOT) is a global audio streaming company. The platform serves more than 600 million monthly active users worldwide, making it the largest music streaming service by market share. Spotify generates revenue from subscriptions, advertising, and partnerships.

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Disclosure: None. This article is originally published at Insider Monkey.